AMC Entertainment Beats Street On Strong 4Q Movie Slate, Stock Pops, CEO Sees “Material Growth” In 2025 And Beyond

deadline.com:

The largest theater chain in the U.S. and the world, AMC Entertainment, saw revenue for the last three months of 2024 blow past estimates with revenue up 18+% to $1.3 billion.

Highlights included Gladiator II, Wicked, Moana 2, Mufasa: The Lion King and more. Adjusted earnings before interest, taxes, depreciation and amortization (ebitda), a key metric for Wall Street, more than tripled to $164.8 million from $49.9 million the year before, outpacing forecasts.

The stock has been a laggard and closed down about 3% before popping nearly 7% at its high on the numbers after market close to a still modest $3.50.

Net losses narrowed to $136 million from $182 million the year before. Importantly for the exhibitor that has been fighting through high debt since Covid flattened the sector, generated more than $200 million of cash from operating activities and approximately $114 million in free cash flow — its highest quarterly cash flow post pandemic. “These results underscore our continued progress on a road to recovery as a growing lineup of movies open exclusively in movie theatres,” said CEO Adam Aron.  “More than 62 million guests visited an AMC theatre worldwide in the fourth quarter, marking a post pandemic fourth quarter record and a healthy 20% increase compared to 2023.